Atopco is 55% owned by NH Fund and 45% owned by NH Group.

The proposed Project cost is estimated at US$35 million. The proposed IFC investment is a US$15 millionequity and a US$20 million A Loan for IFC’s own account .

30.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	20.0
Equity	10.0

* These investment figures are indicative

One of the Project facility is located in Fujian Province of China. Two more to-be established beef further processing facilities will be located in eastern China and northern China. The Fujian facility is located in an existing food plant within an industry park with easy access to highway.

1)Food safety and traceability: The Project is expected to help meet the supply shortfall of high-quality beef products in China. The Project contributes to the Chinese government initiatives on food quality/safety in the food industry.
2) Sustainable supply: China is not competitive in beef production due to land, water and other constraints. By investing in the Project, IFC could help China to source beef globally in a competitive and sustainable manner and will help China to conserve its land, water and other natural resources, and minimize the demand for natural resources and reduce the environment footprint.
3)South-South Investment. IFC is helping and advising a leading Chinese agribusiness company to invest in other developing countries, and help advance mutually beneficial relationship between China and the rest of the World.

1) Long-term partner: NH Group and NH Fund are keen to attract financing from partners such as IFC who have a long-term investment horizon. IFC investment will enable the operations of the Company to maintain its solid financial structure for long-term development.
2) Expertise and global knowledge: IFC has experience in beef sector globally. IFC industry specialist provides valuable advice for NH Group and NH Fund for their overseas acquisition. Both NH Group and NH Fund value IFC''s knowledge and expertise, and see IFC as one of the few international investors who not only provide financing, but also offer invaluable insights and lessons learned.
3)Stamp of Approval: NH Fund expects to list Atopco''s shares in the future, Both NH Group and NH Fund, as well as potential investors expect the signaling from IFC''s investment will further enhance the image of the company in the market.

This is a Category B project according to IFC’s Environmental and Social (E&S) Review Procedure. The potential E&S risks and impacts of the project are expected to have a limited number of adverse E&S impacts that can be avoided or mitigated by adhering to generally recognized performance standards and guidelines.

Key E&S issues related to the project are: i) assessment and management of the impacts of the company’s acquisition activities; ii) the company’s social, environmental, occupational health and safety and food safety management system and performance as well as capacities to manage the impacts according to IFC Performance Standards and applicable guidelines, which include assurance of fair, safe and healthy working conditions; utilization of equipment and operational practices that maximize conservation of energy and water and process materials, including recycling and reuse initiatives; and management of emissions and wastes and their impacts on ambient environment and nearby communities.

The project involves three new developments in China which are expected to be established through joint venture (JV) with local companies. Each development will be a typical of 3,000 m2 floor areas located in well-developed industrial areas and most likely built in existing industrial buildings. The project does not involve any new land acquisition and involuntary displacement. Future land purchases, in the event they take place, are expected to occur through a willing-buyer-willing-seller open market transaction or through leasing of industrial land from government agencies in China. The project does not have the potential for sourcing of materials or products from ecologically sensitive regions. There is no potential of presence of indigenous peoples or cultural heritage in the project areas. Therefore, impacts related to PS4: Community Health, safety and Security, PS5: Land Acquisition and Involuntary Resettlement, PS6: Biodiversity Conservation and Sustainable Management of Living Natural Resources, PS7: Indigenous Peoples and PS8: Cultural Heritage are not expected with this project.

Please refer to the related Environmental and Social Review Summary (ESRS) document for this project.

Please refer to the Environmental and Social Action Plan (ESAP) tab in the related Environmental and Social Review Summary (ESRS) document for this project.